diff --git a/packages/api/internal/orchestrator/create_instance.go b/packages/api/internal/orchestrator/create_instance.go
index 46102e9aad..577da40e9a 100644
--- a/packages/api/internal/orchestrator/create_instance.go
+++ b/packages/api/internal/orchestrator/create_instance.go
@@ -272,6 +272,19 @@ func (o *Orchestrator) CreateSandbox(
 						"please visit 'https://e2b.dev/docs/billing'", totalConcurrentInstances),
 				Err: fmt.Errorf("team '%s' has reached the maximum number of instances (%d)", team.ID, totalConcurrentInstances),
 			}
+		case errors.Is(err, context.Canceled) || errors.Is(err, context.DeadlineExceeded):
+			// The caller left (client disconnect or its deadline) while the
+			// reservation was being taken. That is the client leaving, not a
+			// server failure: don't log it at ERROR. The access-log/metrics
+			// middleware already maps the request to 499/408 by the cancel
+			// cause, so this never reaches the client as a 500.
+			logger.L().Warn(ctx, "sandbox reservation cut by the caller", logger.WithSandboxID(sandboxID), zap.Error(err))
+
+			return sandbox.Sandbox{}, &api.APIError{
+				Code:      http.StatusInternalServerError,
+				ClientMsg: fmt.Sprintf("Failed to create sandbox: %s", err),
+				Err:       err,
+			}
 		default:
 			logger.L().Error(ctx, "failed to reserve sandbox for team", logger.WithSandboxID(sandboxID), zap.Error(err))
 
diff --git a/packages/api/internal/orchestrator/placement/placement.go b/packages/api/internal/orchestrator/placement/placement.go
index 41ff2bd5ea..b97b8fea46 100644
--- a/packages/api/internal/orchestrator/placement/placement.go
+++ b/packages/api/internal/orchestrator/placement/placement.go
@@ -270,15 +270,28 @@ func placeSandbox(
 
 				return PlacementResult{}, SandboxCreateError{Attempts: attempt + 1, LastErr: err}
 			}
+			// A create cut by its own context (the caller cancelled or its
+			// deadline fired) says nothing about the node: it is the client
+			// leaving, not a node that refused the sandbox. Don't exclude it,
+			// don't count it as a failure sample, and don't log it at ERROR —
+			// doing so pollutes the ERROR stream and inflates createFails with
+			// client behaviour. Still Skip to drop the in-progress reservation,
+			// still count the attempt so deadline() classifies the timeout, and
+			// end with the caller through deadline().
+			if createCut {
+				failedNode.PlacementMetrics.Skip(sbxRequest.GetSandbox().GetSandboxId())
+				logger.L().Warn(ctx, "Sandbox create cut by the caller before it completed", logger.WithSandboxID(sbxRequest.GetSandbox().GetSandboxId()), logger.WithTemplateID(sbxRequest.GetSandbox().GetTemplateId()), logger.WithBuildID(sbxRequest.GetSandbox().GetBuildId()), logger.WithNodeID(failedNode.ID), zap.Int("attempt", attempt+1), zap.Error(utils.UnwrapGRPCError(err)))
+				lastCreateErr = err
+				attempt++
+
+				return deadline()
+			}
 			nodesExcluded[failedNode.ID] = struct{}{}
 			failedNode.PlacementMetrics.Fail(sbxRequest.GetSandbox().GetSandboxId())
 			logger.L().Error(ctx, "Failed to create sandbox", logger.WithSandboxID(sbxRequest.GetSandbox().GetSandboxId()), logger.WithTemplateID(sbxRequest.GetSandbox().GetTemplateId()), logger.WithBuildID(sbxRequest.GetSandbox().GetBuildId()), logger.WithNodeID(failedNode.ID), zap.Int("attempt", attempt+1), zap.Error(utils.UnwrapGRPCError(err)))
 			lastCreateErr = err
 			attempt++
 
-			if createCut {
-				return deadline()
-			}
 			// The loop ends with the caller.
 			if createDetached && ctx.Err() != nil {
 				return answered()
diff --git a/packages/api/internal/orchestrator/placement/placement_timeout_test.go b/packages/api/internal/orchestrator/placement/placement_timeout_test.go
index 7facab943d..8e4e8660a5 100644
--- a/packages/api/internal/orchestrator/placement/placement_timeout_test.go
+++ b/packages/api/internal/orchestrator/placement/placement_timeout_test.go
@@ -159,6 +159,38 @@ func TestPlaceSandbox_HardFailureNotWrapped(t *testing.T) {
 	require.Error(t, err)
 	assert.False(t, result.TimedOut, "a live-context failure must not be reported as a timeout")
 	assert.Nil(t, result.WarmedNode, "a live-context failure must not surface a warming node")
+	assert.EqualValues(t, 1, node.PlacementMetrics.FailsCount(), "a live-context failure must count against the node")
+}
+
+// TestPlaceSandbox_CutCreateNotCountedAgainstNode verifies that a create cut by
+// its own context (the caller left) is NOT counted as a node failure: the node
+// keeps a zero createFails and is not excluded, because a client disconnect says
+// nothing about the node's health. See issue #3683.
+func TestPlaceSandbox_CutCreateNotCountedAgainstNode(t *testing.T) {
+	t.Parallel()
+
+	ctx, cancel := context.WithCancel(t.Context())
+
+	node := nodemanager.NewTestNode("node-cut", api.NodeStatusReady, 0, 8)
+	// The create cancels the request context and then fails - a client that
+	// disconnected (or whose deadline fired) while the create was in flight.
+	node.SetSandboxClient(erroringClient(cancel, status.Error(codes.Canceled, "context canceled")))
+
+	result, err := PlaceSandbox(
+		ctx,
+		failIfCalled(t),
+		[]*nodemanager.Node{node},
+		node,
+		testSbxRequest("sbx-cut"),
+		CPURequirement{},
+		false,
+		nil,
+	)
+
+	require.Error(t, err)
+	assert.True(t, result.TimedOut, "a cut create must be reported as a timeout")
+	assert.Zero(t, node.PlacementMetrics.FailsCount(), "a cut create must not count against the node")
+	assert.Zero(t, node.PlacementMetrics.InProgressCount(), "a cut create must drop its in-progress reservation")
 }
 
 // TestPlaceSandbox_ResourceExhaustedNotPinned verifies that a node which refused